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Is There a China Threat in Chagos Islands?
The Business Guardian
|June 25, 2025
In October 2024, the United Kingdom and Mauritius announced the restoration of sovereignty of Chagos Islands to Mauritius.
INTRODUCTION The deal had been severely criticized over potential security concerns for the British as well as Western countries, given the strategic location of the islands in the middle of the Indian Ocean. Last month, in May 2025, the British Government finalized the deal of transfer of sovereignty, which was announced by Prime Minister Keir Starmer. Starmer, while talking about the strategically important US base of Diego Garcia, stated, "The strategic location of this base is of utmost significance to Britain." This being said, under the terms of agreement, while sovereignty is transferred, the United Kingdom will continue to retain the military base of Diego Garcia, with a 99-year lease. The lease will be for more than $100 million annually, which is justified by citing Britain's defense and national security priorities. This arrangement aims to balance the long-standing issue of decolonization claims in the Global South, while ensuring that the strategic position of the islands remains operational for the United Kingdom vis-à-vis the United States.
This story is from the June 25, 2025 edition of The Business Guardian.
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